Voluntary Retirement Plans

NMSU offers 403(b) and 457(b) voluntary retirement savings plans that allow employees to save additional money for retirement through payroll deduction. These plans are separate from the New Mexico Educational Retirement Board (NMERB) Defined Benefit Plan and the New Mexico Alternative Retirement Plan (ARP).

Employees may contribute on a pre-tax basis and, where available, on a Roth (after-tax) basis. Contributions are made by employees only; the university does not contribute to these plans. The minimum contribution is $7.50 per paycheck. Maximum contribution amounts are determined by annual IRS limits and may vary based on an employee's age and eligibility for catch-up contributions.

The 403(b) and 457(b) plans are separate retirement plans with separate IRS contribution limits. Eligible employees may participate in one or both plans to help meet their retirement savings goals.

Contributions are invested according to the investment options selected by the participant and are subject to investment gains, losses, and applicable fees and expenses. Investment performance is not guaranteed.

Eligibility

Who Can Participate?

All employees, including:

  • Regular and Term-appointment faculty and staff
  • Temporary employees
  • Graduate assistants
  • Student employees

Enrollment and Changes

How to Enroll

  1. Select and open an account with an approved retirement vendor
  2. Complete a Salary Reduction Form
  3. Submit the form to Benefit Services using the ticketing system
Contributions generally begin the first pay period after the form is processed.

2026 Contribution Limits

Contribution Type

2026 Limit

403(b) Annual Limit $24,500
457(b) Annual Limit $24,500
Age 50+ Catch-Up Additional $8,000
Age 60-63 Catch Up Additional $11,250

The 403(b) and 457(b) plans are separate plans with separate IRS contribution limits. Eligible employees may be able to contribute up to the maximum annual limit to each plan.

Important 2026 SECURE 2.0 Update

Beginning January 1, 2026, employees whose prior-year FICA wages from NMSU exceeded $150,000 must make any age-based catch-up contributions as Roth (after-tax) contributions.

Roth payroll deductions are currently available through:

  • Fidelity
  • TIAA

Employees using other retirement vendors may need to establish a Roth account with Fidelity or TIAA to make catch-up contributions.

Plan Documents and Forms

Roth Contribution Flyer

 

403(b) Plan Highlights

403(b) Salary Reduction Agreement Form

403(b) Plan Document and Adoption Agreement

 

457(b) Plan Highlights

457(b) Salary Reduction Agreement Form

457(b) Plan Document and Adoption Agreement

Vendor Options

Vendor Options
 Vendor 403(b) 457(b) ARP 401(a) Roth Available Through Payroll Accepting new enrollments
TIAA Yes Yes Yes Yes Yes
Fidelity Yes No Yes Yes Yes
Corebridge Yes Yes No No Yes
Voya Yes Yes No No Yes
Ameriprise Yes No No No Yes
American General Life Yes Yes No No Yes
Aspire Financial Services Yes No No No Yes
AXA Equitable Life Yes No No No Yes
Commonwealth Annuity Yes No No No Yes
Horace Mann Yes No No No Yes
Waddell and Reed Yes No No No Yes

 

Withdrawals and Distributions

To request a distribution or withdrawal from your 403(b) or 457(b) account, contact your retirement vendor for the appropriate forms and information regarding available distribution options.

NMSU requires notarized spousal consent for all distributions and withdrawals. After completing the vendor forms and obtaining any required notarized signatures, submit the forms to NMSU Benefit Services for the Plan Administrator’s review and signature.

Eligibility for withdrawals and distributions is subject to IRS regulations and plan provisions. Depending on the type of withdrawal requested, additional taxes, penalties, or restrictions may apply. Consult with your tax advisor and retirement vendor before requesting a distribution.

Financial Education Resources

Decision Partners

New Mexico State University has teamed up with Decision Partners to enhance personal financial literacy knowledge of Aggies through an online financial education platform.  The platform offers engaging resources that Aggies can use, such as modules, articles, videos, and calculators that will lead to a solid financial foundation.  The financial literacy resources are designed for students regardless of major or year at New Mexico State University.  The topics covered include budgeting, financial basics, saving and investing, scholarships and financial aid, career development, identify theft and managing credit or debt.

Visit https://ssc.nmsu.edu/programs/ecmc-project-success.html
For additional information, contact the Student Success Center at 646-3136.

Vendor Presentations

Voya - Get Back on Track

Valic/Corebridge - Retirement Plan at Work | Retirement Income Strategies


Frequently Asked Questions

Can I contribute to both 403(b) and 457(b) plans?

Yes. These are separate plans with separate IRS contribution limits.

Can I change my contribution amount?

Yes. Submit a new Salary Reduction Form.  The change can take effect as early as the following pay period.

Can I stop contributions?

Yes. Submit a revised Salary Reduction Form.

Can I have more than one vendor?

Yes, subject to vendor and plan requirements.

Which vendors offer Roth contributions through NMSU payroll?

Currently TIAA and Fidelity.

How do I access the money in my account?

Contact your investment provider for details.  Notarized spousal consent is required for all withdrawals and distributions.  After obtaining appropriate forms and signatures, forward the forms to Benefit Services for Plan Administrator signature.  Our office will sign and forward the form to the investment provider. 

 

NMSU Policy Reference: ARP 8.16 – Tax Sheltered Annuities
ARP 8.13 - Deferred Compensation (457 Program)